Today we will be interested in time-based pay systems. Perhaps they are most often found in practice. So, you have to study everything about them in all details. And this is only so that your employer could not violate the rights of subordinates. This is a matter of jurisdiction! And to know by what principle you will be paid for the performance of official duties is also not bad. Indeed, in this case, you will be able to assess the integrity of your employer, as well as control your own efforts. Why? Calculation of time-based wages, depending on its form, often implies either accounting for hours worked, or accounting for the direct result of your activity (volume of completion). There are times when there are no development prospects, and your efforts are not taken into account in any way. If the quality of labor does not play a role in earning money, citizens often start to work through their sleeves. So what can modern legislation offer in our current issue?
Definition
What is earnings in general? All labor has its value. Just this "price tag" in the event of an employment relationship between a subordinate and an employer is a wage. Often it depends on the qualifications of the employee. But from the form of payment, too, to some extent.
Earnings - monetary remuneration issued to an employee for the performance of his official duties under a labor contract for some time. It may depend on the duration of labor or on the volume of work performed. The first option is found in practice much more often.
Forms of payment
It is easy to guess that there is such a thing as a form of payment for your work. In general, the Labor Code of the Russian Federation currently provides for only two scenarios. But they are enough to reward subordinates in one way or another in monetary terms for the performance of official duties.
What form of payment can be? Time-based is the first type. As you might guess, in this case you will receive earnings depending on the time directly spent at the workplace. The most common scenario for most employers. It is often used when it is very problematic to estimate labor by volume. It has several calculus systems. About them a little later.
The second form is piecework. It allows you to pay for labor subordinates, but only taking into account the work performed. The more, the higher the earnings. Not too common, but a very effective method of monetary reward. It allows you to motivate employees to quality and increase the speed of work. But more interest is shown in the time-based form.
Labor Code
What does the Labor Code of Russia say about wages? Forms of remuneration may be different. Moreover, earnings can be expressed not only in cash. By default, all payments are made in the national currency of the state. In our case, it is rubles. A similar rule is prescribed in article 131 of the Labor Code of the Russian Federation.
It also indicates that, upon written request from an employee, it is possible to conduct settlements in non-monetary form or in another currency, if this does not contradict either the legislation of Russia or international treaties of the country.Please note: if you decide to receive payment not in cash, then the share of this form cannot exceed 20% of your total earnings.
Pay prohibitions
It doesn’t matter if time-based pay systems or any other are used for a particular case. Regardless of this indicator, there are some restrictions and prohibitions on receiving remuneration for the performance of official duties.
We have already found out: not only is money expressed in earnings. In some situations, it is possible to receive part of the remuneration in material form. But not all objects are suitable for provision as earnings. According to the law, an employee cannot be issued as a salary:
- coupons and coupons;
- receipts and bonds;
- alcohol;
- drugs (and narcotic substances, such as medications);
- toxic substances (including toxic and harmful);
- ammunition and weapons;
- other items prohibited for free circulation in the country.
Rate
There is such a thing as an hourly rate. It is used to calculate employee remuneration for hours worked. A common option for employers in Russia.
What tariff rate basically? This is a fixed remuneration for the performance of duties by employees in their pure form. What does it mean? The tariff rate does not take into account various bonuses, bonuses, compensation, social benefits, as well as employee incentives. It can be monthly, hourly or daily.
The hourly tariff rate is indispensable when the time worked by a person is taken into account. If the amount of work is more important for the employer, then such a scheme will not work. Otherwise, it is more profitable to use the hourly option.
Rate calculation (per hour)
How can the time-based tariff rate be calculated? Several options are used. The first is the division of the total monthly salary by the hours worked. In such a situation, the rate itself may differ monthly. After all, such indicators as:
- number of days in a month;
- hours worked directly.
The second calculation scheme is a bit confusing. To bring it to life, you need to take the annual working hours and divide it by 12. You will get an indicator that reflects how many employees work per month on average. Next, the salary is divided by the figure received. And it turns out the tariff rate. In this situation, it will be the same every month. The disadvantage of this system is that it is a "special" work (night shifts, overtime) should be paid in the same way as regular performance of official duties. Often, such a decision by subordinates is not too pleasing.
Addiction
Now you can find out what time-based wage systems exist in practice. After all, the main components are already clear. Especially the tariff rate and its features.
You can find a simple form of time payment. As the name implies, there are no features here. Such a solution allows you to calculate and pay depending on the hourly rate and time spent at work. No indicators are taken into account anymore, there are no additional cash payments either - neither incentive, nor social, nor bonuses.
We can say that this is a net hourly wage. Even the volume of work performed here is not taken into account. Employees respond to such a system very well. Especially if you can just while away the time at the workplace. “Departed and went home” - this is the principle usually cadres practice with a simple form of cash payments.
Awards
All this does not have the best effect on product quality. Therefore, the time-bonus system of remuneration is much more in demand (from the point of view of the employer). What does it include?
In this situation, the main emphasis is on improving product quality, and not on the speed of job performance. The better this indicator, the greater your salary. But how is it? Everything is very simple - the time-bonus system of remuneration for calculations uses not only the tariff rate and the number of hours worked. This additionally includes premiums for the quality of the goods (or uninterrupted operation of equipment / machines). In some professions, bonuses can be given for positive customer reviews about an employee, for the quality of service.
From volumes
On this, time-based pay systems end. And the appointment of a salary begins, depending on the amount of work performed. A very interesting system that requires special attention. It often demonstrates a direct relationship between earnings and how much an employee has worked (not time is taken into account, but the result of labor). As in the past case, there are several forms of presentation of this kind of calculations.
The first option is a simple piece-rate payment. It is not burdened with anything, has no significant features. Most often, it takes place where individual control of labor results is easily established. The accrual is made taking into account the prices (analogous to the tariff rate) per unit volume of products and directly produced goods by each employee.
Over and above
There is such a thing as piecework-premium payment system. It is not too common, but in order to stimulate employees to increase the speed of work, not at the expense of quality is very suitable.
It is understood that earnings are paid according to the piecework system. But in addition, each employee will receive an increase in payment (bonus) for the fulfillment or overfulfillment of the work plan established by the employer (monthly, weekly, daily). This takes into account not only the volume of labor, but also the quality of the products.
There is also a piece-wise progressive system. An analogue of the previous one, but with its own characteristics. To be more precise, it means that the calculation of earnings is carried out until the norm is met at the usual rates, and if it is exceeded for the "overtime" amount, an increased rate is charged. Just this option most stimulates people to increase efficiency. This is almost a piece-wage payment for the performance of official duties with its own characteristics and without taking into account the time spent on labor. In fact, in such cases, you can work out the norm, and the rest of the time be free. Or "earn extra money" due to overfulfillment of the plan.
Makers
The features of our current issue do not end there. Not all employees work at hourly rates. In some cases, it really makes sense to establish a piecework calculation system. There is such a thing as indirect piecework payment. It is not too rare, but not all subordinates are able to work according to this plan. Nevertheless, hourly wages are in great demand among subordinates.
The thing is that this kind of option takes place when it comes to wage workers. Or the auxiliary personnel, which serves the main subordinate-makers. Their earnings will depend on the amount of work performed by the main employees. Why? Because support staff often provides the pace of labor, as well as productivity in the enterprise. Often, the volume of work, as well as the prices per unit of output, will be taken into account. Quite an interesting technique that stimulates everyone to improve the quality and speed of production.
Chords
Another payroll option is the accord-based pay system. Also not too rare. But to understand this scheme seems a little difficult.
All this is due to the fact that payment will be made not per unit of output, but per batch. More precisely, for a certain volume development taking into account (indicating) the term of the task. A chord system of remuneration is good when it comes to enterprises that produce a huge amount of goods. It is easier for the employer to assign this calculation method, so that the employees' earnings take into account the production batches. Its quality will also be taken into account.
Nevertheless, most often the best option is time-bonus payment. It best stimulates employees and does not spoil the image of the employer.
